Jumping into the future: Samoa will skip Friday this week as it shifts across the international dateline to be in synch with its major trading partners in Asia.
China has activated its own GPS satellite system.
China had so far launched 10 satellites for the Beidou system, including one this month, and planned to put six more in orbit in 2012 to enhance the system’s accuracy and expand its service to cover most of the Asia Pacific region.
Fragments from yesterday’s failed Russian launch crashed onto “Cosmonaut Street” in Siberia.
An evening pause: The world’s largest model railroad.
Government spending at its stupidest: the top ten projects.
I like #6 the best, $484,000 to help finance a pizza restaurant in Arlington, Texas, because every business should get its own free pile of cash from the government!
Some good news: The FBI is reporting a drop in violent and property crimes in every region of the U.S for the first half of 2011.
As the report above notes, this drop has occurred during “tough economic times,” illustrating once again that the leftwing claim that “tough economic times” causes violence and crime is dead wrong. If a society knows the difference between right and wrong while respecting property rights, poverty by itself will not lead to crime. What will lead to crime is a rejection of these values, which not only promotes bad behavior (stealing and violence) but also leads to more poverty and the collapse of society.
With this in mind it is therefore interesting to reflect on many of the actions and ideas of the Occupy Wall Street movement. Is this what we really want for America?
Why are Indian reservations so poor? (Link fixed. Sorry.)
The vast majority of land on reservations is held communally. That means residents can’t get clear title to the land where their home sits, one reason for the abundance of mobile homes on reservations. This makes it hard for Native Americans to establish credit and borrow money to improve their homes because they can’t use the land as collateral–and investing in something you don’t own makes little sense, anyway.
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“Markets haven’t been allowed to operate in reserve lands,” says [Manny Jules, a former chief of the Kamloops Indian band in British Columbia]. “We’ve been legislated out of the economy. When you don’t have individual property rights, you can’t build, you can’t be bonded, you can’t pass on wealth. A lot of small businesses never get started because people can’t leverage property [to raise funds].
Hat tip Ace of Spades.
The astonishing collapse of MF Global.
The failure of broker MF Global is a unique event in the annals of American corporate history: To my knowledge, it’s the first time a CEO singlehandedly bankrupted his firm through actions that the board of directors was not only knowledgeable of, but had indeed expressly sanctioned. “That takes some talent!” quipped Roderick Hills, a former chairman of the SEC.
The article is long, detailed, and thorough. It describes a deep corruption that should chill the spine of anyone who has money in the investment world.
I must note that I do not advocate more regulations to eliminate this corruption. Such regulations never work. Take for example this quote from the article, describing the accounting systems that are required by law to prevent a client’s funds from being misused:
As noted above, it’s a major part of the CEO’s job to put the proper systems in place. In fact, regulations implemented through Sarbanes-Oxley — a bill that Corzine co-wrote while he was a senator — require that the CEO and CFO sign off on the effectiveness of the controls over financial reporting. … If those proper “controls and procedures” were in place, a breach of segregated client funds should have set off loud, blaring, obnoxious alarms that would have alerted management to that breach.
In the case of Jon Corzine and MF Global, those controls were obviously not in place, and thus the Sarbanes-Oxley bill wasn’t worth the paper that Corzine used to write the bill.
Rather than more regulations, what works is very simple and can be summed by two words: “Buyer beware.” Investors (as well as voters considering the political ambitions of Corzine and his friends) have to be more skeptical of whom they put their trust in. You have to protect yourself. You can’t ask others to do it for you.
A Spanish company has announced it will build a space hotel by 2012.
The story suggests that Virgin Galactic will providing the tourist ferry to their orbital hotel, which is puzzling as that company is only building a suborbital spacecraft at this time.
